Everything You Need to Know About Forex Trading Platforms

Contrary to what many newbies tend to believe, forex trading is a complex enterprise that requires you to have a vast knowledge about monies, business, and geopolitics. However, having this information does not necessarily mean that you are going to be able to build a lucrative business while sustaining profits through currency trading.

If you are new to forex trading, there are some steps that you should follow in order to start your career in forex trading. For starters, in order for you to access the currency markets, you will need to open a personal trading account. An individual trading account can be either a live or a practice account.

After setting up your trading account, the next step to consider will be which platform would be best suitable based on how you want to trade.

Forex trading platforms are usually classified according to their format, trading models, and programmable language. In this article, we are going to have an in-depth discussion of each classification.

Classification According to Training Model

In this classification, forex trading platforms are usually classified according to the trading model through which the broker operates.

Dealing Desk Platforms

Market markers usually use these platforms to connect the broker’s dealing desk with the trade platforms. This ensures that all orders and pricing originate from the broker’s dealing desk.

Non-Dealing Desk Platforms

In these platforms, also known as direct access trading platforms, pricing information is usually directly displayed from various liquidity providers. Platforms such as level II software and Currenex Viking software fall under the non-dealing desk platforms.

Classification According to Programming Language

Here, platforms are classified according to the language used in the programming design of the platform

MetaTrader

Products of metaquotes software, the metatraders can be classified into MT4 and MT5. Although the MT5 is a successor of the MT4, many brokers still prefer using the MT4 trading platform.

This is because the MT4 platform has many advantages: auto-trading abilities, a user-friendly interface, and the various tech indicators it offers.

To download mt4 platform, all you need is to have a registered free demo account with a MetaTrader broker or forex firm.

Trade Station

As part of their trading suites, big forex capital companies usually use the trade station platform, which uses the Lua programming language.

ActTrader Platform

With the help of detachable windows and tabs, the ActTrader platform allows you to customize your workplace. Some of the unique features of the ActTrader platform include;

• Act Vat visual strategy editor that helps you directly automate your trading strategies from charts without necessarily writing a code line.
• A built-in one-click feature that enables you to open and manage your position in a quicker way.
• FXapp that allows you to find the best-automated trading tactics.

cTrader

This is an Electronic Communications Network platform. The cTrader platform gives you direct access to the forex trading market. Some of its significant advantages are that it provides you with fast trade executions, large sets of practical analysis tools, and access to a great pool of liquidity providers.

Classification According to Format

In this type of classification, trading platforms are divided based on whether the software is available online. The software can either be downloadable or non-downloadable, depending on its file format.

Downloadable Trading Platforms

These types of platforms are usually downloadable to your device. They are often available as executable files, and you need to unpack and compile them further into the platform.

Non-Downloadable Platforms

Also known as web-based platforms. Usually, these platforms run on java, and you can access them by simply typing the URL into your browser. You can access the platform anywhere as your login details are usually used to give you access to the trading platform.

 Conclusion

The various types of trading platforms allow you to make the best choice, depending on your trading objectives. You cannot deny that forex trading is arguably one of the most trending forms of trade, currently.

With this article, we have provided you with everything you need to know about various trading platforms. Hopefully, it will help you in making the best choice.